New Delhi — Amazon and its rival in India, the Walmart-owned Flipkart, did not break regulations through their selection of merchants and brands, the Competition Commission of India (CCI) said in a ruling late on Tuesday.
The decision is a defeat for a lobby group representing thousands of online sellers in India.
A case brought by the All India Online Vendors Association (AIOVA), which represents more than 3,500 online sellers, complained that Flipkart was using its dominant position to favour select sellers — an argument the CCI rejected.
AIOVA’s case alleged that Flipkart — in which Tencent, of which Naspers owns just more than 30%, is a minority shareholder — was not adhering to a section of India’s anti-trust laws that says companies should not abuse a dominant market position through “unfair or discriminatory” pricing.
“Looking at the present market construct and structure of online marketplace platforms market in India, it does not appear that any one player in the market is commanding any dominant position at this stage of evolution of market,” the CCI said in its ruling.
The CCI added that its “considered opinion” was that Amazon has also not broken the rules.
The 2016 edition of the IPL reached a massive viewership of 335 million, more than 50 percent of India’s paying television households — reinforcing India’s love affair with the country’s biggest sports tournament. Hotstar claims that in the major Indian cities, more people watched last year’s IPL season on its service than on TV.